Small charities working with young people, stroke victims, asylum seekers and prisoners around the UK were today named as the winners of the Guardian Charity Awards.

The five winners were Aik Saath – Together As one, a charity that works with young people in Slough to help tackle gang related violence; the Tyneside-based Comfrey Project, which promotes health and wellbeing to refugees and asylum seekers through allotment work; Faith and Football, working with young people in deprived areas of Portsmouth; InterAct Reading Services, a one-to-one reading service for people who have had strokes; and Shannon Trust, that works with the prison service to encourage prisoners to mentor others prisoners to help them read.

Sarah Brown, keynote speaker and judge at the awards ceremony in the Guardian's office in King's Cross, London, praised the winners for their "inspiration, innovation and reach" and said in a recession they were more important than ever.

"People are turning to third sector organisations to give them a voice and sense of security in their community, so smaller charities have never mattered more," she said.

The prime minister's wife, who is the president of many small charities, herself, including PiggyBankKids, acknowledged their daily struggles and highlighted the importance of the awards for raising their profile with funders.

"Small charities are easily eclipsed by bigger charities but form the backbone of an increasingly vibrant voluntary sector," said Brown. "I know how helpful these awards are for raising profile and status."

She urged the winners "to feel empowered and determined to do even more" and quoted an African American saying: "You must lift as you climb."

Brown, a Twitter afficionado with almost a million followers on the social networking site, also urged small charities to harness the power of social networking.

The awards, now in their 17th year, are sponsored by Media Trust and the National Council for Voluntary Organisations. They seek to recognise the importance of small charities. The winners were chosen from charities with an annual income of between £5,000 and £1m. They showcase a handful of the tens of thousands of small charities making a contribution to communities.

Each of the winning charities receives a cheque for £1,000, a new PC donated by Jigsaw Systems, a half day consultancy at NCVO and a tailored package of media services from Media Trust.

Almost 500 organisations entered for this year's awards. The judges noted that the range and diversity of charities was narrower than in previous years, and that the more edgy, experimental charities were not pushing themselves forward.

But Stuart Etherington, NCVO chief executive, said: "The awards shows how citizens are involved in all sorts of community projects. There has been no reduction in the time spent raising money and volunteering. This is what the Guardian Charity Awards are designed to celebrate."

David Brindle, the Guardian's public services editor, said the awards were a "terrific and uplifting occasion to showcase a handful of the tens of thousands of charities that make a contribution to communities."

Other members of the judging panel were Jane Asher, president of the National Autistic Society, Lynne Berry, chief executive of WRVS, Caroline Diehl, chief executive of Media trust, Baroness Valerie Howarth, chair and president of Livability and vice-patron of Childline and Dame Suzi Leather, chair of the Charity Commission.

Not all the awards were unanimous decisions. The award to Faith and Football prompted much discussion. Although the majority agreed that the charity was a worthy winner, Jane Asher did not vote for it. She recognises the value of its excellent sports programme, but the strongly faith-based aspect of its work caused Asher serious concern, and the judges agreed to air her view at this awards ceremony.

• This article was amended on 4 December 2009. The original said that Aik Saath – Together As is a charity working with young Asians in Slough. Aik Saath says this was how it originated, but now its work is with young people from a range of backgrounds. This reference has been corrected.